Bring Your Passport While Shopping
When shopping for big-ticket items in Europe and Asia, it’s important to carry your passport. Many countries offer VAT refunds for non-residents, making substantial purchases significantly cheaper. For example, in France, you must spend a minimum of 175 euros at one store to qualify for the VAT refund. Having your passport allows you to prove your non-resident status and claim your refund. Forgot your passport? Put your items on hold and retrieve it from your hotel.
Save and Document Every Receipt
Another crucial step is saving and documenting every receipt. In Europe, each store issuing a VAT refund will provide a different VAT envelope. Keep these until you’re ready to leave the country, as customs will require your paperwork at the tax refund counter at the airport. Plan extra time before your flight since these counters can be difficult to locate and quite busy. Remember, you cannot use your new purchases in the country where you bought them; keep them in their dust bags and boxes with all tags and receipts intact.
Consider Shipping Your Items Back
If you purchase large or expensive items, consider shipping them back home. You can legally send luxury goods to yourself but must still declare them. Shipping up to $200 worth of goods duty-free is allowed, but you will pay duty on the entire amount if the value exceeds this. It’s better to over-declare than face fines; accurately complete the customs forms when returning to your home country.
When in Doubt, Declare It
Declaring all purchases, even secondhand items like a Louis Vuitton wallet, is often required. You can generally bring up to $800 worth of goods into the U.S. duty-free. However, include smaller purchases like clothing and souvenirs in your total calculations. Creating a detailed list of your purchases will help you and your customs agent. Remember, ‘duty-free’ doesn’t always mean free from duties and taxes.
